But, even though Microsoft are officially denying the phone, for some people it's just not enough, and today I received another email with the following link which I don't even bother to summarize.

Let me tell the world a secret: software companies (including Microsoft) are working in parallel on many new stuff. Some of it will not even get into a release phase, many will totally fail, and only few will succeed.

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Look at the link. It officially says that Microsoft will not have a zune phone, however, they may have "zune mobile" which means porting a bunch of services from zune to winmo. This is far from what you talk about.Reading Marry-Jo's blog for a long time. She usually has some good info. As always - we can make it interesting. CES is in January. Do we have a bet?